Cash injection for Premier Modular comes after troubled months for offsite sector

UK offsite company Premier Modular has received new investment from London-headquartered private equity firm MML Capital Partners. 

The undisclosed investment is accompanied by a fresh injection from Cabot Square Capital, which acquired the business in 2021

Premier-Modular-Kings-College-Hospital-010

Source: Premier Modular

Premier Modular work at Kings College Hospital

Established in the 1950s, Premier Modular provides modular building solutions for both temporary and permanent applications across the public and private sectors for healthcare, education, defence, commercial, infrastructure, construction and residential markets. 

The company’s rental fleet has grown by around 50% in the past four years and it says the new investment will fuel its ambitions to make its product more widely available in domestic and European markets. 

“Premier Modular is already a well-run company, as seen in the great performance in recent years,” said Andrew Honan, managing partner (infrastructure) at MML.  

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“But it’s Premier Modular’s long-term growth that we are really excited about. Fundamentally, we are seeing a big societal change in how we build our infrastructure in the UK and globally – a focus on being closer to the user’s specific needs and being able to rapidly respond to change.  

“In that context, Premier is at the vanguard of enabling this change in sustainable and affordable ways.” 

Modular construction has been championed by many – including some in government – for its potential to increase productivity and lower emissions from construction. 

But recent high-profile failures have shaken faith in the sector. Insurance giant L&G shut its flagship factory earlier in the in wake of £170m losses, while modular housebuilder TopHat this week recorded a pre-tax loss of more than £5m in 2022, despite nearly doubling revenue